Nelson stands firm against alcopop tax

PM - Tuesday, 19 August , 2008 18:13:00

Reporter: Naomi Woodley

MARK COLVIN: The Federal Opposition leader, Brendan Nelson, says he has a list of 30 ideas as a result of the summit he held today on binge drinking. They include enforcing existing laws, more money for rehabilitation, and better education for parents.

But the summit did nothing to change Dr Nelson's mind on a decision that he'd already made, to oppose the Government's increased tax on so-called alcopops.

BRENDAN NELSON: Why is it that increasingly, young people are wanting to start drinking at the age of 10, 11 or 12? We're seeing young people going into adult life, loosing their adolescence.

NAOMI WOODLEY: But Dr Nelson says the debate has become skewed, focusing too much on young people, and not enough on the wider problem of alcohol abuse across the community.

In Canberra today, he's convened a summit of medical groups, drug and alcohol experts and parent and community groups, to learn more about what might be done.

BRENDAN NELSON: I've taken away from this meeting today about 30 proposals to consider, which cover as diverse arrange of areas as parent education, enforcement of existing laws, licensing arrangements, policing, packaging, labelling, pricing issues, also the taxes that are raised and where they're actually spent, the underfunding of organisations throughout Australia that are involved in alcohol education, prevention, treatment and rehabilitation.

NAOMI WOODLEY: He says the culture of alcohol abuse in Australia needs to be addressed, and that goes further than stereotyping young people as heavy drinkers.

BRENDAN NELSON: Most young people are not binge drinking. Most young people are a great credit to their families, to our society and this constant reference, I think to young people binge drinking, runs the risk of again unfairly stereotyping young people as at risk drinkers, when in fact it is a problem which goes right across our society.

REPORTER: What affect does that have? Who cares, really, that this stereotype, as you're trying to…

BRENDAN NELSON: I care, I care! I care about how this society views young people.

NAOMI WOODLEY: And Dr Nelson is adamant on another point, the Government's tax increase on so-called alcopops or pre-mixed alcoholic drinks, isn't the right way to fix Australia's alcohol problem.

BRENDAN NELSON: The $3-billion that Mr Rudd proposes to slug Australians who drink ready-to-drinks, mainly men drinking dark rum mixes, in fact shows that there will be a 10 per cent year on year increase in total consumption of these products over the five years and further to that, he has not proposed to put that $3-billion into alcohol education, treatment and rehabilitation programs.

GEOFF MUNRO: We support the tax, tax is known as the most effective way to reduce consumption and so far there's every sign that the tax is working as intended.

NAOMI WOODLEY: Geoff Munro from the Australian Drug Foundation was one of the experts Dr Nelson consulted today. But he admits he was in a minority.

GEOFF MUNRO: We certainly hope the Liberal Party and all the non-government parties will support the tax.

NAOMI WOODLEY: The Government too is hoping for a change in heart from the Opposition.

It maintains that the tax increase is a health measure designed to cut down on the rates of excessive drinking by young people, and isn't just a $3-billion tax grab. But that hasn't stopped the Treasurer Wayne Swan from resorting to an economic argument.

WAYNE SWAN: This is dangerously irresponsible to blow a hole in the Budget surplus at a time of international uncertainty. Australia needs a strong surplus to act as a buffer against international uncertainty.

NAOMI WOODLEY: The Government introduced the tax hike by regulation in April. It has a year to introduce legislation into Parliament to formalise the changes, but won't say if it'll do it when Parliament resumes next week.

It's one of several measures Dr Nelson has now confirmed the Opposition will block, including the increase to the Medicare surcharge levy. The Government intends to lift the threshold to $100,000 for singles and $150,000 for couples.

BRENDAN NELSON: There'll be no compromise on Medicare surcharge legislation for the simple reason that every dollar that is raised by those who either pay more into Medicare or by private health insurance ends up in the healthcare system, and that's why it's important.

NAOMI WOODLEY: But on the day he's turned 50, Dr Nelson will be waiting a little longer to have his celebratory glass of wine.

BRENDAN NELSON: QANTAS has cancelled my plane. That's another story. But I'm sure there's nothing personal in it, but my flight back to Sydney has been cancelled so I'm on a later flight, but later tonight, I hope to have a glass of wine with my wife.